Let’s learn how to formulate real estate planning and development strategies like a pro with Plus Property.
In this article, we’ll explore all aspects of real estate development from location, property design and construction to marketing and property management. The following tips can help bring success to your real estate business.
Assets like plots of land, houses and condominium units are highly valuable investments that, investors agree, appreciate over the years. Real estate hardly depreciates thanks to factors like constant population growth and a corresponding demand for housing. A lot that’s in a prime location is always in demand.
According to the Real Estate Information Center, land prices in the second quarter of 2023 continued to rise, with a 14.8 percent increase over the past five years. The phenomenon – involving substantial land price increases over a period of time – is having an impact on those investing in properties like detached houses and condo units.
If investors make a long-term investment in these assets, it’s likely that they won’t be making a loss and will have a chance of making greater returns as well.
As a consultant on real estate development and sales and market strategies, Plus Property have seen a wide range of business owners who have existing assets like tiny plots of land, don’t know how to invest in their real estate and are keen on making a profit from these plots.
At present, property developments involving small plots of land are witnessing strong market demand thanks to the proliferation of modest housing development projects that offer a limited number of units. These compact property development projects are regulated by the laws concerning small-size land development in Bangkok and municipalities.
The law permits, among other things, small residential development projects consisting of no more than 32 units and no larger than two rais in size.
Creating a new property development project is a way of adding value to the plot and increasing the potential of doing business successfully. Plus Property has been managing property projects for a range of clients that can be divided into two main categories.
1. Clients with an existing plot of land who want to maximize profits through property development
Most of these plots tend to be developed as different types of immovable properties such as horizontal residential projects (detached houses, semi-detached houses, and townhomes) or low-rise/high-rise condominium projects.
2. Clients who wish to reinvent themselves as professional real estate developers
This group of clients has a starting capital ready for tapping into real estate development. So, they are looking for plots of land for development as different types of residential projects.
When preparing a feasibility study on property development for these groups of clients, Plus Property recommends three phases of real estate development:
1. Pre-development
This phase involves conducting a land analysis by studying the legal aspects (such as the laws relating to town planning and building control), the physical aspect and the location [of the real estate to be developed].
Plus Property has a top-notch market research team in charge of conducting market surveys to gather data supporting a feasibility study.
The result of the analysis is a summary of data consisting of two main sections: a market feasibility study and a financial feasibility study. The goal is to develop the most commercially viable real estate project.
2. Development
This stage puts emphasis on product development, sales and marketing and property design. Essentially, it’s important to come up with different property designs to suit the tastes and preferences of the project’s different target customers.
The materials used must be compatible with the property project’s product segment so that the project is able to meet the needs of each group of customers. Location is another key element that must be easy to access to ensure positive customer feedback.
Another important component of this phase is providing advice as a consultant on project cost control, competitor analysis (to research the competitors’ strategies relating to building materials, size, and the function of the shared facilities. As a result, the developer will be able to control the cost of each unit and set its list price.
3. Sales & Marketing
This stage involves drawing up marketing and pricing strategies and developing a killer sales plan. Plus Property puts emphasis on continuously developing the potential of its sales team so that they become highly professional consultants of the highest sales standards who have a sound knowledge of, and the expertise in, providing a market analysis and developing a successful sales strategy.
This phase also involves setting up and using a CRM system in order for the developer to identify the genuine needs of consumers based on the “customer journey” (customer insights gleaned from their interaction (touchpoints) with the brand.)
As an organization with extensive experience in providing services as sales and marketing representatives, Plus Property places great importance on serving as “your creative business partner who has a real knack for identifying customer needs.” Plus Property’s business approach is premised on our “ownership and business partnership mindset.”
The company is taking a “total solution” approach to providing a range of services: sales management (as the sole sales agent), providing advice on all aspects of property development that meets the needs of the developer, executing property management and other duties for the juristic persons of condominiums, housing estates and other buildings and spaces, acting as a sales consultant for property projects and serving as selling, purchasing and leasing agents for second-hand condos.
The company is blessed with a highly experienced property management team with 25 years’ experience in the business and the ability to fulfill every client’s needs.
Those interested in Plus Property’s services such as serving as your sole sales and marketing agent should visit plus.co.th/sole-agent for more information.
